Genting Malaysia is actively seeking the dismissal of a lawsuit brought against it by Bahamas Casinos Resort World Bimini, committing to a robust defense against the accusations.
The company previously labeled the allegations as “baseless and totally without merit.”
Recently, in a filing with the Malaysian Bourse, Genting argued for the dismissal of the case, characterizing it as a shareholder dispute.
The initial accusations targeted Genting, claiming it transferred group liabilities to its Bahamas subsidiaries.
This move led the Genting Group to assure investors that “it will make further announcements as and when there are material developments on the above matter.”
These allegations arise from the Capo family in Florida, who accuse the company of what they term a “massive and coordinated fraud.”
The lawsuit asserts: “Through its control over BB Entertainment and its finances, Genting Americas has used BB Entertainment to mask various fraudulent activities. So far, BB Entertainment has distributed no profits to RAV from this venture because Genting Americas, which controls BB Entertainment’s finances, has treated BB Entertainment as a financial dumping ground. It is evident that Genting Americas’ fraudulent accounting practices have burdened BB Entertainment with hundreds of millions of dollars in illegitimate debt.
“Only a large-scale and coordinated fraud could channel nearly a billion dollars of debt into a small island resort where RAV had already established most of the critical infrastructure. Genting Americas concealed the nearly-billion-dollar liabilities within consolidated statements by using ambiguous expense categories to hide the fraud from RAV.”
It added: “Genting Americas, at every opportunity, has intentionally hindered RAV’s efforts to gain insight into the financials, including denying RAV full access to BB Entertainment’s financial records and rejecting requests for an independent audit.”
The lawsuit further accuses Genting of stripping RAV of the entire value of its 20-acre contribution, seeking $600 million from its partner group.